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HomeMy WebLinkAboutCOW Agenda 2/23/2016COMMITTEE OF THE WHOLE AGENDA Meeting Location: 50 South Emerson Mount Prospect, I L 60056 I. CALL TO ORDER - ROLL CALL Meeting Date and Time: Tuesday, February 23, 2016 7:00 PM MayorArlene A. Juracek Trustee Paul Hoefert Trustee Richard Rogers Trustee John Matuszak Trustee Colleen Saccotelli Trustee Steven Polit Trustee Michael Zadel II. APPROVAL OF MINUTES Committee of the Whole Minutes of January 26, 2016 III. CITIZENS TO BE HEARD IV. CHAMBER OF COMMERCE/DOWNTOWN MERCHANTS ASSOCIATION - DOWNTOWN REDEVELOPMENT PRINCIPLES The Chamber of Commerce and Downtown Merchants Association will present their recently adopted "Downtown Redevelopment Principles". V. CONSIDER USE OF UTILITY FUND RESERVES FOR REPLACEMENT OF THE STATION 17 GROUND STORAGE TANK ROOF Staff will facilitate a discussion of funding options for roof replacement at Reservoir 17 including deferral of water main replacement projects and utilization of existing water/sewer enterprise fund balance. VI. MANAGER'S REPORT Status VII. OTHER BUSINESS VIII. ADJOURNMENT Committe of the Whole Meeting - February 23, 2016 Page 1 of 15 NOTE: ANY INDIVIDUAL WHO WOULD LIKE TO ATTEND THIS MEETING BUT BECAUSE OFA DISABILITY NEEDS SOME ACCOMMODATION TO PARTICIPATE, SHOULD CONTACT THE VILLAGE MANAGERS OFFICE AT 50 SOUTH EMERSON, MOUNT PROSPECT, ILLINOIS 60056, 847/392-6000, EXTENSION 5327 Committe of the Whole Meeting - February 23, 2016 Page 2 of 15 Village of Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM TYPE: SUBMITTED BY: Minutes Doreen Jarosz SUBJECT: DEPARTMENT: DATE: Village Manager's Office February 16, 2016 SUPPORTS THE FOLLOWING STRATEGIC PLAN GOALS: BACKGROUND: MOTION REQUIRED: MANAGER'S MEMORANDUM: ATTACHMENTS: Description Type Committee of the D Whole Minutes Cover Memo January 26, 2016 Upload Date File Name 2/18/2016 1-26-2016 COW Minutes.docx Committe of the Whole Meeting - February 23, 2016 Page 3 of 15 COMMITTEE OF THE WHOLE MINUTES January 26, 2016 CALL TO ORDER — ROLL CALL The meeting was called to order at 7:04 p.m. in the Village Board Room of the Village Hall, 50 South Emerson Street, by Mayor Arlene Juracek. Trustees present included Paul Hoefert, John Matuszak, Steven Polit, Richard Rogers and Colleen Saccotelli. Trustee Michael Zadel was absent. Staff present included Village Manager Michael Cassady, Assistant Village Manager David Strahl, Administrative Analyst Alex Bertolucci, Community Development Director Bill Cooney, Police Chief Tim Janowick, Interim Fire Chief Brian Lambel, Finance Director Dave Erb, and Human Services Director Julie Kane. II. APPROVAL OF COMMITTEE OF THE WHOLE MINUTES FOR January 12, 2016 Motion made by Trustee Polit seconded by Trustee Rogers to approve the minutes, minutes were approved. III. CITIZENS TO BE HEARD Louis Goodman, 310 N. School St. spoke. He inquired as to whether the Mayor would consider a state of the village address on an annual basis. Mayor Juracek stated she would consider it; however, she currently does a presentation at the economic development breakfast in January that typically covers all the topics that would be considered in a state of the village address. IV. FINANCIAL INCENTIVES TO DRIVE ECONOMIC DEVELOPMENT DISCUSSION: Village Manager Cassady provided an overview of the economic development programs the village has used in the past and has requested Community Development Director Bill Cooney provide an outline of the best practices used by other communities. Community Development Director Cooney stated there were several items regarding economic development highlighted during the strategic planning meetings including a review of what other communities used for economic development incentive packages. He stated the majority of the surrounding communities use the same tools the village uses. He also stated that none of the techniques have proven to be ultra -successful and he has further talked with the EDC which confirmed general acceptance of the techniques as incentives to be considered on a case-by-case basis. He stated currently there is a less than 6% vacancy rate in KBC or 9% vacancy rate of industrial property within the community. He stated the best incentives appear to be the ones that are simple and easy to utilize. He stated the village has utilized $25 million for Committee of the Whole Page 1 of 3 02/12/16 Committe of the Whole Meeting - February 23, 2016 Page 4 of 15 redevelopment in the TIF area. He stated that the towns have used more TIFs for redevelopment purposes and reminded the board that other taxing bodies are not generally supportive of TIFs. He stated the village has used the 6B classification extensively but have not had the opportunity to use the class 7 incentives since they are typically related to more stringent requirements for qualification purposes. He stated that no communities surveyed use property tax abatements due to the small amount of property taxes under the control of the municipality. He stated that some communities including Mount Prospect have used a business improvement District which can be overlaid in an area in which sales -tax rebates can be utilized by sales -tax generating properties. He stated the use of special service areas is limited due to the potential for disqualification of an SSA through residential petitions. The use of industrial revenue bonds has not been very attractive due to the low interest rates. He stated the village has used a business improvement District for the Randhurst Village redevelopment, a sales -tax abatement for Costco, and a sales -tax abatement for the Northwest Electric relocation. He stated the village has also approved twenty 6B designations. General comments village board included the following items: • There was a question regarding whether the village should focus on a specific brand of business type. • There was also an inquiry whether it would be prudent for staff to remind potential businesses that the village is open to 6B classifications in the early stages of the recruitment process. • There was a discussion regarding the direct financial assistance option for specific type of business but there were concerns regarding the possibility of alienating other types of businesses. It was thought that targeting one specific business type with a unique package may be too limiting. • A comment was made that it appears as if staff has the appropriate tools to move forward to avoid any direct incentive giveaways and the fact that the village uses the same tools as other communities is helpful. The next step might be to consider building code relief through modifications, sign code relief, or modification to other redevelopment code options that may be a detriment to redevelopment consideration. V. DISCUSSION OF THE VILLAGE OF MOUNT PROSPECT STRATEGIC PLAN IMPLEMENTATION AND LEADERS GUIDE Village Manager Cassady presented the plan showing the strategic plan implementation steps projecting out to 2030. He stated staff is ready to follow the goals as outlined in the execution process over the next several years. He also highlighted the vision, mission, core beliefs and a plan for what the community should look like in 2021. He highlighted each of the major goals: infrastructure Committee of the Whole Page 2 of 3 02/12/16 Committe of the Whole Meeting - February 23, 2016 Page 5 of 15 with six action items; development with four action items; business with three action items; commercial business district with seven action items; governance with seven action items; and cultural climate with two action items. General comments from the village board included the following items: It was stated the strategic implementation plan is a living and breathing document and can be utilized by staff as a guidance tool over the next several years for prioritizing efforts to address policy needs of the Village Board. General consensus of the Village Board was to support the plan and bring it for formal approval at the next regular Village Board meeting. VI. MANAGER'S REPORT None VII. ANY OTHER BUSINESS None IX. ADJOURNMENT The meeting adjourned at 8:39 p.m. DAVID STRAHL Assistant Village Manager Committee of the Whole Page 3 of 3 02/12/16 Committe of the Whole Meeting - February 23, 2016 Page 6 of 15 Village of Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM TYPE: SUBMITTED BY: Presentation Bill Cooney DEPARTMENT: DATE: Community Development 2/17/16 SUBJECT: The Chamberof Commerce and Downtown Merchants Association will present their recentlyadopted "Downtown Redevelopment Principles". SUPPORTS THE FOLLOWING STRATEGIC PLAN GOALS: DEVELOPMENT: Balancing preservation, revitalization, growth, BUSINESS: Strong local economy, support for innovation, entrepreneurialism and small business, COMMERCIAL BUSINESS DISTRICTS: Vibrant downtown and commercial areas BACKGROUND: The Chamber of Commerce and Downtown Merchants Association have requested the opportunityto appear before the Village Board to present their "Downtown Redevelopment Principles" that they recently adopted. The leadership of both groups will attend the 2/23/16 Committee of the Whole meeting to detail 5 key guiding principles that theywould like the Village to consider as the next phases of downtown redevelopment move forward. The Principles are: Retail follows residential -A downtown business district cannot attract high-quality business until it has a mass of residents to support the businesses. Unlike a commercial corridor which relies on traffic numbers and easy in/out access for its customers, downtown districts need local residents to provide that customer base (the more, the merrier). 2. Retail spaces should primarily be occupied by retail/destination businesses - Non -retail businesses do little to create the all-important foot traffic every downtown needs. Restaurants and drinking establishments are best at creating this foot traffic. Incentives or disincentives from the village may be a way to lead building owners in that direction. We believe TIF funds could be used in this way. 3. If you have limited real estate, going up is a cost-effective option -As the Lakota Group pointed out in its Downtown Study, in order to achieve the desired density, going up not only makes financial sense, it provides the number of residential units necessary to sustain the downtown businesses and resulting "activity" we all say that we want. If acquiring new downtown real estate is not a viable option, then going up makes tremendous sense. 4. Larger contiguous parcels attract more attention in the commercial marketplace - Using the Small Triangle as an example, offering small pieces of land for redevelopment among other small, future development sites inherently leads to hodgepodge development that ultimately leaves the "highest and best use" component out of the planning process. The municipality should be collecting and packaging contiguous sites on paper if buying parcel outright is not an option. The municipality has the staff, means and desire to do much of the investigation/matchmaking work. 5. The Municipality needs to take the leadership role in the downtown redevelopment - The community we live in belongs to the collective residents of the community itself. The community administration should strive to create that community. Allowing outside developers and large commercial entities to create Committe of the Whole Meeting - February 23, 2016 Page 7 of 15 the landscape of our community is not serving the best interests of the community. Municipalities can provide both incentives and disincentives to accomplish what it wants. It begins with a clear vision of what is wanted. We encourage strong oversight and even the occasional "Special Purpose Ordinance" to accomplish the vision of the community. 02/09/2016 MOTION REQUIRED: Discretion of the Committee. MANAGER'S MEMORANDUM: ATTACHMENTS: Description Type Upload Date File Name Memo from Chamber- s Chamber/DMA Backup Material 2/17/2016 DMA _ Downtown _Redevelopment _Principles _- _021216. pdf Committe of the Whole Meeting - February 23, 2016 Page 8 of 15 1 TO: Doreen C. Jarosz, Administrative Assistant to the Village Manager Village of Mount Prospect FROM: Dawn Fletcher Collins, Executive Director Mount Prospect Chamber of Commerce SUBJECT: COW Meeting Agenda — February 23, 2016 DATE: February 12, 2016 On behalf of Board members of the Mount Prospect Chamber of Commerce and the Mount Prospect Downtown Merchants Association, I respectfully request the attached letter be forwarded to the Village Board of Trustees with an opportunity to present remarks at the next Committee of the Whole Meeting on Tuesday, February 23. Chad Busse, MPDMA President and Marcin Bos, MPCC Chairman will be in attendance along with additional members of the business community. Thank you for your consideration. Committe of the Whole Meeting - February 23, 2016 Page 9 of 15 MPDMA & MPCC Downtown Redevelopment Principles 1. Retail follows residential - A downtown business district cannot attract high-quality business until it has a mass of residents to support the businesses. Unlike a commercial corridor which relies on traffic numbers and easy in/out access for its customers, downtown districts need local residents to provide that customer base (the more, the merrier). 2. Retail spaces should primarily be occupied by retail/ destination businesses - Non -retail businesses do little to create the all-important foot traffic every downtown needs. Restaurants and drinking establishments are best at creating this foot traffic. Incentives or disincentives from the village may be a way to lead building owners in that direction. We believe TIF funds could be used in this way. 3. If you have limited real estate, going up is a cost-effective option - As the Lakota Group pointed out in its Downtown Study, in order to achieve the desired density, going up not only makes financial sense, it provides the number of residential units necessary to sustain the downtown businesses and resulting "activity" we all say that we want. If acquiring new downtown real estate is not a viable option, then going up makes tremendous sense. 4. Larger contiguous parcels attract more attention in the commercial marketplace - Using the Small Triangle as an example, offering small pieces of land for redevelopment among other small, future development sites inherently leads to hodgepodge development that ultimately leaves the "highest and best use" component out of the planning process. The municipality should be collecting and packaging contiguous sites on paper if buying parcel outright is not an option. The municipality has the staff, means and desire to do much of the investigation/matchmaking work. 5. The Municipality needs to take the leadership role in the downtown redevelopment - The community we live in belongs to the collective residents of the community itself. The community administration should strive to create that community. Allowing outside developers and large commercial entities to create the landscape of our community is not serving the best interests of the community. Municipalities can provide both incentives and disincentives to accomplish what it wants. It begins with a clear vision of what is wanted. We encourage strong oversight and even the occasional "Special Purpose Ordinance" to accomplish the vision of the community. 02/09/2016 Committe of the Whole Meeting - February 23, 2016 Page 10 of 15 Village of Mount Prospect Mount Prospect, Illinois INTEROFFICE MEMORANDUM TYPE: SUBMITTED BY: Informational Sean P. Dorset/ DEPARTMENT: DATE: PW-Water/Sewer February 17, 2016 SUBJECT: Staff will facilitate a discussion of funding options for roof replacement at Reservoir 17 including deferral of water main replacement projects and utilization of existing water/sewer enterprise fund balance. SUPPORTS THE FOLLOWING STRATEGIC PLAN GOALS: INFRASTRUCTURE: Well designed, well maintained public spaces and facilities, GOVERNANCE: Financial sound, providing exceptional service BACKGROUND: On February 2, 2016, the Village Board awarded a contract to replace a failed roof covering the 2 million gallon, welded -steel, ground -level water storage tank adjacent to Booster Pumping Station 17. Booster Pumping Station 17 is on Elmhurst Road near the intersection of Camp McDonald Road. Rehabilitation of this tank was scheduled for the 2016 fiscal year. However, the budgeted scope of work was limited to minor structural repairs, safety enhancements, and coating replacement. Complete replacement of the roof was not anticipated. The roof replacement contract awarded by the Village Board was in the not -to -exceed amount of $1,562,167. However, only $650,000 was allocated for tank rehabilitation work in the 2016 budget; creating a $912,167 funding deficit. Staff has suggested that this gap could be narrowed by deferring proposed water main replacement work already included in the 2016 budget. $600,000 has been allocated for this purpose. These funds, combined with the $650,000 already budgeted for Booster Station 17 reservoir rehabilitation work, would increase available money to $1,250,000 and reduce the funding deficit for this project to $312,167. During deliberation of this matter, the Village Board asked staff to identify the inventory of water main replacement work awaiting funding so that deferral of this year's project could be considered with appropriate perspective. AttachmentA contains a listing of pending water main replacement projects. This list is prioritized according to a weighted index that considers several parameters including number of water main breaks, water main age, water main material, water main capacity, type of customers, critical risk priority, isolation valving, water main purpose, and system continuity. This listing ranks projects from category 5 (highest priority) to category 1 (lowest priority). Pipe segments not included on this list, the vast majorityof the water distribution system, are not slated for replacement. Water main projects ranked as either category 4 or category 5 are considered priorities for funding. Pipe segments rated category 3 or lower are slated for continued monitoring. This analysis is reiterated on an annual basis and is subject to change. Attachment B contains an engineer's estimate of probable construction cost for category 4 and category 5 projects. The total current backlog of priority water main replacement work is approximately $17,000,000. Total estimated reserves in the Water and Sewer Fund as of December 31, 2015 are $4,443,507. This represents a reserve balance as a percent of operating expenditures of 34.4%. The fund balance policy of the village sets the benchmark reserve level for this fund at 25.0%, or $3,229,996. Committe of the Whole Meeting - February 23, 2016 Page 11 of 15 Excess reserves above the benchmark are $1,213,511. If the village were to fund the entire gap amount ($912,167) with reserves, the reserve balance remains above the benchmark at $3,531,340, or 27.3%. Utilizing this option would allow scheduled water main replacement work to continue and maintain compliance with the village's fund balance policy. MOTION REQUIRED: 1. Motion to recommend use of Utility Fund reserves to repair the Station 17 roof structure. 2. Discretion of the Committee. STAFF RECOMMENDATION: Staff recommends approval of the use of Utility Fund reserves to fund the roof replacement. This is an appropriate source of funds to appropriate for this critical repair. This approach will allow continued progress on replacement of Category4 and 5 watermain and we will stay in compliance with the Village Fund Balance Policy. MANAGER'S MEMORANDUM: ATTACHMENTS: Description Type D Attachment B _ Cover Memo EOPCC Attachment A D Water Main Cover Memo Projects Upload Date File Name 2/17/2016 Attachment B_EOPCC_CATS_4_5.pdf 2/17/2016 Attachment A Water Mai n_Repl_Projects.docx Committe of the Whole Meeting - February 23, 2016 Page 12 of 15 Water Main Replacement Cost Estimate Mount Prospect, It 1/13/2016 Item Name Unit Quantity Unit William St Cost (Henry/Central); OwenSt (Lonnquist/Golf) Louis St ! (Council/end) Connie Ln (Audrey/Hetlen) Whifegate Dr (We Go/Cathy) Elm St {Highland/Gregor/) - Elm St , (Thayer/Central) ", Elmhurst Rd (Golf Plaza II Shopping ' Center) , Prospect AVe & RR Grossing (William/Edward) Water Main - 6" Diameter Foot 0 $ 135 Water Main - 8" Diameter Foot 20,374 S 170 658 1,398 1,266 609 756 1,255 1,321 1,037 1,006 Water Main - 10" Diameter Foot 0 $ 195 Water Main - 12" Diameter Foot 0 $ 225 Water Main - 16" Diameter Foot 0 $ 280 Water Main - 18" Diameter Foot 1,683 S 320 Water Main - 24" Diameter Foot 1,953 S 430 Water Main Valves in Vaults Each 35 S 9,100 2 5 4 2 3 4 4 3 3 Water Service Connections 2 Each 282 S 3,400 18 37 34 16 20 33 35 28 27 Fire Hydrants and Leads 3 Each 35 S 6,400 2 5 4 2 3 4 4 3 3 Excavation & Trenching Cy 10,959 S 11 682 1,450 1,313 632 784 1,301 1,370 1,075 1,043 Trench Backfill4 CY 10,177 S 43 634 1,346 1,219 586 728 1,209 1,272 999 969 Pavement Removal & Patching $Y 9,394 S 125 585 1,243 1,125 541 672 1,116 1,174 922 894 Restoration SY 14,091 S 10 877 1,864 1,688 812 1,008 1,673 1,761 1,383 1,341 Subtotal S 313,379 S 665,810 S 602,944 S 290,042 S 360,052 S 597,705 S 629,138 S 493,881 S 479,117 Contingencies (20%) S 62,676 S 133,162 S 120,589 S 58,008 S 72,010 S 119,541 S 125,828 S 98,776 S 95,823 Engineering &Administration (20%) S 62,676 S 133,162 S 120,589 S 58,008 S 72,010 S 119,541 S 125,828 S 98,776 S 95,823 EOPCC (rounded) $ 439,000 $ 932,000 $ 844,000 $ 406,000 $ 504,000 $ 837,000 $ 881,000 $ 691,000 $ 671,000 Notes: 1 Two (2) valves in vaults for every 600 feet have been included to connect to existing water main. 2 Sixteen (16) water service connections have been included for every 600 feet of water main. 3 One (1) fire hydrant has been included for every 300 feet of water main. 4 Select granular backfill has been included, anticipating that all water main is located under a street. 5 Pavement patching for one 8 -foot wide bituminous traffic lane has been included. Segments ranked at 5 0: Segments ranked at 4 Committe of the Whole Meeting - February 23, 2016 Page 13 of 15 George St (Council%Loniigt(stj Deneen Ln ,{Small/Thaye,) ;(Council/end) Albert St William St (Prospect/Sharbonee) Busse Rd (Magnolia/Dempster) I Oka Ave (Lonnquist/Golf) Owen St (Gregory/Thayer) Maple St (Lincoln/Council) Kenilworth Ave (Prospect/Central) Small Ln (Deneen/Stevenson) Waverly Ave (Lonnquist/Golf) Prospect Ave (Maple/School) Total 1,262 623 1,266 744 1,624 1,373 1,368 311 1,614 883 20,374 1,683 1,683 1,953 1,953 4 2 4 2 7 5 5 5 6 1 5 3 80 34 17 34 20 52 43 37 36 45 8 43 24 640 4 2 4 2 7 5 5 5 6 1 5 3 80 1,309 646 1,313 772 2,025 1,684 1,424 1,419 1,745 323 1,674 916 24,899 1,215 600 1,219 716 1,881 1,564 1,322 1,317 1,621 299 1,554 850 23,121 1,122 554 1,125 661 1,736 1,444 1,220 1,216 1,496 276 1,435 785 21,342 1,683 831 1,688 992 2,604 2,165 1,831 1,824 2,244 415 2,152 1,177 32,013 S 601,039 S 296,710 S 602,944 S 354,337 S 1,437,914 S 773,445 S 653,904 S 651,523 S 1,053,994 S 148,117 S 768,682 S 420,537 S 12,195,215 S 120,208 S 59,342 S 120,589 S 70,867 S 287,583 S 154,689 S 130,781 S 130,305 S 210,799 S 29,623 S 153,736 S 84,107 S 2,439,043 S 120,208 S 59,342 S 120,589 S 70,867 S 287,583 S 154,689 S 130,781 S 130,305 S 210,799 S 29,623 S 153,736 S 84,107 S 2,439,043 $ 841,000 $ 415,000 $ 844,000 $ 496,000 $ 2,013,000 $ 1,083,000 $ 915,000 $ 912,000 $ 1,476,000 $ 207,000 $ 1,076,000 $ 589,000 $ 17,072,000 Committe of the Whole Meeting - February 23, 2016 Page 14 of 15 Attachment A Water Main Replacement Projects William St Hen /Central 5 Owen St Lonn uist/Golf 5 Louis St Council /end 5 Connie Ln (Audrey/Hatlen) 5 White ate Dr WeGo/Cath 5 Elm St (Highland/Gregory) 5 Elm St (Thayer/Central 5 Elmhurst Rd Golf Plaza II 5 Prospect Ave & RR Crossing (William/Edward) 5 George St Council/Lonn uist 5 Deneen Ln(Small/Thayer) 5 Albert St Council/end 4 William St Pros ect/Shabonee 4 Busse Rd (Magnolia/Dempster) 4 1 Oka Ave Lonn uist/Golf 4 Owen St (Gregory/Thayer) 4 Maple St Lincoln/Council 4 Kenilworth Ave (Prospect/Central 4 Small Ln Deneen/Stevenson 4 Waverly Ave Lonn uist/Golf 4 Prospect Ave (Maple/School 4 Elmhurst Ave (Evergreen/Lincoln 3 School St (Thayer/Central 3 Northwest H Albert/Mount Prospect Road 3 Kim Ave Crestwood/Hatlen 3 William St Council/Lonn uist 3 Owen St (Thayer/Central 3 William St Lonn uist/Golf 3 School St (Gregory/Thayer) 3 Birch Dr (Catalpa/Cottonwood 3 Redwood Dr Robert/Cottonwood 3 Elm St (Gregory/Isabella) 3 Northwest H Fairview/Wi11e 3 Maple St (Highland/Gregory) 3 Prospect Manor Ave (Kensington/Highland) 3 Lincoln St(Busse/Bobby) 3 Maple St Lonn uist/Golf 3 Stratton Ln(Lowden/Thayer) 2 Fern Dr Willow/Cottonwood 2 Main St (Highland/Central 2 White ate Dr Cath /Central 2 Hiawatha Trl Emerson/Lonn uist 2 Thornwood Ln Tamarack/Laver ne 2 WeGo Trl Lonn uist/Golf 2 Lancaster Ave Lonn uist/Golf 2 Oak Av (Gregory/Isabella) 2 Catalpa Ln Tamarack/Busse 2 Martha Ln Crestwood/Hatlen 2 Highland St Wille/Emerson 2 Elmhurst Rd Kensin ton/Hi ghl and 2 School St Lonn uist/Golf 1 Elmhurst Rd Sunset/Golf 1 Emerson St Central/Northwest H 1 HenrySt Kenilworth/end 1 -=Village of Mount Prospect I February 17, 2016 Committe of the Whole Meeting - February 23, 2016 Page 15 of 15